Over half of UK companies will be spending more on search engine optimisation (SEO) this year, according to new research from Guava and Econsultancy.

It shows that 55 per cent of firms plan to increase their budgets for SEO in 2009, while 31 per cent will maintain current levels of spending.

Furthermore, some 45 per cent of companies said they intend to spend more on pay per click marketing this year.

Almost one-quarter are also planning to allocate larger sums of money to online display advertising, the research shows.

Linus Gregoriadis, research director at Econsultancy, said: "This research provides more proof that companies are turning to digital channels such as paid search and SEO where there is a demonstrable return on investment."

A separate study by the European Interactive Advertising Association shows that 70 per cent of European advertisers have increased their online ad spend for 2009, diverting funds away from traditional forms of media.

News brought to you by ClickThrough – specialists in Search Engine Optimisation and Internet Marketing.

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